by Glenn Taylor
Northern News Services

INUVIK (Oct 24/97) - Darnley Bay Resources Ltd. stock is shooting through the roof, thanks to encouraging results from the first phase of its exploration program.

The stock climbed from $.85 per share to as high as $2.70 on Tuesday on the Canadian Dealing Network. With $11,800 invested in the company, Inuvik's Mary Beckett couldn't be happier.

"My stake doubled last night," said an excited Beckett. "If things keep moving, we may be able to retire soon," she joked.

Beckett and her husband decided to invest in the company after watching diamond stocks climb over last year. "We have most of our investment portfolio in mostly safe stuff.... We decided we could afford to take a risk."

The company completed airborne magnetic surveys of its 600,000-hectare property near Paulatuk earlier this week. The property contains North America's largest gravity anomaly, suggesting a large concentration of minerals beneath the surface, according to company president Leon La Prairie.

The geophysical consulting firm Paterson, Grant and Watson Ltd. stated in March that "the possibility of the anomalous body containing economic quantities of nickel-copper and/or the platinum group elements is considered excellent." The same firm will be reviewing the results from the aerial survey, to help isolate targets for ground crews to further explore, in phase 2 of the program.

The firm's final report is expected to be completed early next month. La Prairie said he expects the firm will recommend a follow-up program for phase 2.

According to the company, early results "confirm the presence of a large kidney-shaped anomalous area immediately south of Paulatuk."

Data taken from the anomaly "suggests that components of the interpreted intrusion(s) are considerably shallower than previously thought." That may well be the most positive news. The closer to the surface the anomaly is, the more likely it will be economic to mine, said La Prairie.

Next month's phase 2 ground-survey program will consist of rock sampling, as well as gravity and electromagnetic surveys. Phase 2 will help determine the selection of sites for possible drilling early next year. The Environmental Impact Screening Committee agreed last month to allow the Company to proceed with phase two.

(For more information, you can access Darnley Bay's web site. Fresh stock quotes on the company are available on the Net at this location.)